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THE substantial contribution farmers make to improving the environment in NSW has been highlighted in a report by the Australian Bureau of Agricultural and Resource Economics and Sciences.

The report, Native Vegetation Management on Agricultural Land, contains a number of findings acknowledging the work farmers do as stewards of more than 73% of the NSW land mass.

The report found the agricultural sector was playing an important role in managing native vegetation for environmental and production outcomes.

NSW Farmers' president Fiona Simson said the report's findings are extremely gratifying.

"As farmers, we've known for a long time that our industry is managing native vegetation for both environmental and production outcomes. But, to see our efforts recognised is very rewarding", Ms Simson said.

The report's findings correspond with a survey of members by NSW Farmers earlier this year which found environmental sustainability plays a role in business decision making for 93% of farmers.

"The facts are showing there is a revolution going on in our industry as we dedicate increasing amounts of time to improving sustainability.

"Through movements like Landcare, farmers are better informed than ever about how to maximise environmental outcomes on their land. What this report highlights is the benefits of working collaboratively with farmers and tailoring practices to suit the local landscape, rather than taking a prescriptive, one-size-fits-all regulatory approach.

"Importantly, the report found that improving the transparency of regulations improves their effectiveness in delivering environmental outcomes through greater farmer engagement."

NSW Farmers is seeking targeted changes to the Native Vegetation Act 2003 to enable farmers to actively manage their landscape. Currently farmers can face fines of up to $1.3 million and two years in jail for broadscale land clearing - defined as the removal of a single native plant.

Ms Simson said in light of cultural changes within the industry in the past 15 years, it's time for a fresh approach to natural resource management for farm land which partners with farmers rather than sidelining them in the process.